SEBI’s changes are not two individual ease-of-doing-business measures. They redefine the line between an active unitholder base and a passive one, at the precise moment a REIT or InvIT switches hands.

SK Jain has not yet been overruled, and by choosing to distinguish rather than overrule it, Lombardi has left scope for pre-deposit clauses to continue in some form.

While insolvency practice in India has thus far treated data as an asset without considering whether privacy law even permits its transfer, this is particularly significant for AI companies, whose business models hinge on personal data.